NISM 5a Practice test 5

Real Estate Investment Trusts (REIT) and Infrastructure Investment Trusts (InvIT) are register with ________.

Gilt Fund has to invest minimum __________  investment in Goverment securities out of total assets.

Dividend Yield Fund invests minimum _____ % in equity out of the  total assets.

Contra Fund invests in

Multi-Cap Fund has to invest

Exchange Traded Funds (ETFs) can be best compared with

Close-ended funds have ____________.

Mutual Fund investment offers a guaranteed return of 10 to 12% in the long term. True or False

NAV of the Mutual Fund is changing____________.

Which of the following assets has the least liquidity?

While deciding Financial Goals, Inflation is an important factor with the Time Horizon.

What are the long-term Financial Goals?

Is saving is better than investing?

The formula for the Treynor Ratio is

Which body is responsible for controlling the Mutual Funds industry in India?

Which of the following Govt.  body regulates financial markets and ensures investor protection.

Maturity of Overnight Fund is

What is not true about the NAV of a Mutual Fund

Which of the following is not true about Open-ended funds

STP is used in Mutual Funds

The (SID) scheme information document  is issued by:

Day to day management of the schemes is handled by

Who has custody of the assets of the scheme

The appointment of  Registrars and Transfer Agents  ( RTA ) is done by the

The custodian is appointed by the

How much percentage of  AMC's -Directors should be independent  i.e., not associated with the sponsor or any of its subsidiaries or the trustees.

Maximum Nomination, Investors can specify for their Mutual Fund Investment.

All custodians need to register with

Celebrity endorsements of Mutual Funds at the industry level are allowed.. True or False

In risk-o-meter,   Red colour indicates

Trail commission increases as NAV increases. The above statement is true or false.

What is the exit Load in a Mutual Fund Scheme?

Investment platforms like Groww, Kuvera, Paytm Money, Coin, etc are

Trail Commission of Mutual Fund Distributor is calculated______________.

NAV for index funds, liquid funds and other debt funds. is to be calculated up to at least ______ decimal places.

NAV for equity and balanced funds is to be calculated up to at least ______ decimal places.

"Outstanding Fees payable by MF" will come under the category of

A higher NAV value of a Mutual Fund Scheme indicates?

The formula for calculating NAV  is

While investing in a Mutual Fund scheme, the Investor has two options to choose  1. Growth option and 2. IDCW option

What is fullform of IDCW

In MF Schemes, the regular plan has a higher Expense Ratio as compared to the direct plan. True or False

For the first time, Mutual Fund Schemes Units are offered to investors via ________.

Short-term capital gains tax on Equity Oriented scheme is _______.

On the Transfer of mutual fund units, such as transfers between demat accounts.

The Stamp duty is applicable @ _______ %.

Stamp Duty on Mutual Fund Units purchase is applicable @ ______ % of the amount invested

What is the full form of CAGR

Fundamental analysis of the firm means

Which of the following are Specific Risk factors

  (a)Banking and PSU fund  (b) Gilt fund  (c) Credit risk fund

(d) Corporate bond fund

Arrange the above Debt  funds in the increasing order of their Credit risk ( i.e. Safest to Risky )

How many types of Risk Levels are there in "Riskometer" of Mutual Fund Scheme

Which of the following Statements is True about a Liquid Fund

Arrange the following Hybrid schemes in increasing order of risk, i.e., starting from Lowest risk to Highest Risk.

a) Balance Hybrid fund b) Aggressive Hybrid Fund c) Conservative Balance Fund

The performance of the Gold-ETF depends on the increase and decrease in the gold market price.

Mutual Fund Age is an important factor in selecting the Mutual Fund Scheme because

Which document contains statutory information about the mutual fund

The process of verifying the identity of an investor is called

Debt securities with maturity over 30 days are valued at

The financial statements of a mutual fund must be audited by

The first step in financial planning is

Unsystematic risk can be reduced through

Systematic Transfer Plan (STP) is used to

Alpha measures

The maximum number of schemes an AMC can manage is

Which of these is an example of a derivative

A fund of funds (FoF) invests in

Which of these is a risk-free instrument

Treasury bills are issued by

Gilt-edged securities are issued by

SEBI mandates that at least ___% of trustees should be independent

The sponsor must have at least ___ years of experience in financial services

KYC compliance for mutual fund investors is governed by

Dividend received by a mutual fund from Indian companies is

The TER must be disclosed

An investor redeems units worth ₹1,00,000, and the exit load is 0.5%. The load charged will be

A fund has a risk-free return of 12%, an average return of 28%, and a standard deviation of 8%. The Sharpe ratio is:

STCG on debt funds is taxed at

Equity-oriented funds are those with minimum equity allocation of

What is the minimum amount required to start a SIP in India as per SEBI regulations

For debt funds, “yield curve” inversion usually signals

The “Expense Ratio” of an index fund is generally

In debt markets, “credit spread” refers to

The Total Expense Ratio (TER) for a debt fund with AUM above ₹500 crore is capped at

Which SEBI regulation primarily governs the advertisement code for mutual funds

A fund's beta is 0.8. What does it indicate?

An open-ended mutual fund can accept fresh investments

Which risk in a mutual fund is most impacted by RBI repo rate changes?

Which fund typically has the lowest expense ratio

Which mutual fund category has the highest market risk

Which of the following statements is TRUE regarding the expense ratio of a mutual fund?

Which is an open-ended index fund’s main advantage over an ETF?

AMFI is neither a regulatory body nor a Self-Regulatory Organisation (SRO).

The appointment of RTA is done by the ______

Which fund category has no exit load restriction as per SEBI?

If a mutual fund invests in foreign securities, which additional risk is introduced?

The celebrity can endorse or promote a particular

scheme of Mutual Fund?

The expense ratio of a mutual fund is calculated as:

If inflation increases then the purchasing power of money ___________.

If an investor invests in the Direct plan of a Mutual Fund scheme, then no commission is paid to the MF distributor.  True or False

In case of debt funds, income from interest is:

Income earned by a mutual fund is exempt from taxes. True or False